BSEIndia: All Stock Market News: Re: [sharetrading] Trading in options [1 Attachment]

Friday, January 22, 2010

Re: [sharetrading] Trading in options [1 Attachment]

[Attachment(s) from ekam ber included below]

Please find an attachment which will help you to understand the concept of options - call, put etc along with the strategies

My view is that if you are a newbie please refrain from indulging into the same straightaway - first get acquainted with the things then do some paper trades for three months atleast - then if your success rate is atleast 60% and with the same if you are left in atleast 20% profit then try to test the real waters

Also keep in mind derivatives are referred to as the weapons of wealth destruction

regards and all the best

ekamber

----- Original Message -----

From: abhi rastu

To: sharetrading@yahoogroups.com

Sent: Saturday, January 23, 2010 10:28 AM

Subject: Re: [sharetrading] Trading in options

hello

its simple you will gain in call when the market moves up.and you will gain in put when the market moves down.if you are settling your call contract before expiry(i.e last thursday of the month) the profit will be diff of your preium you paid and the spot preium.and if your are settling the contract at expiry. diif will be of call you have taken (eg ce 5100) and the spot market price(eg 5200) profit of 100 rs a lot will be there.

Regards
ar

--- On Fri, 22/1/10, Ajeev Dhall <dhall.ajeev29@yahoo.com> wrote:

From: Ajeev Dhall <dhall.ajeev29@yahoo.com>
Subject: [sharetrading] Trading in options
To: sharetrading@yahoogroups.com
Date: Friday, 22 January, 2010, 8:05 PM

Hi.

Can anyone plz. tell how to deal in options and what is the difference between call & put?
Thanks in advance.

Ajeev

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